When it comes to planning for the future, clients often focus on the transfer of assets portion of  estate planning, such as wills, trusts, and non-probate transfers. However, one critical document that is often overlooked is a power of attorney (POA). In Missouri, having a power of attorney in place to assist when you are mentally or physically incapacitated is a crucial component of your comprehensive estate plan. The POA ensures that your financial and medical affairs are managed by a trusted individual when you are unable to do so yourself.

What is a Power of Attorney for Mental Incapacity?

A power of attorney for mental incapacity is a legal document that grants a designated person (your agent or attorney-in-fact) the authority to make decisions on your behalf if you become mentally incapacitated. Mental incapacity can be the result of various factors, including illness, injury, or age-related cognitive decline. Without a power of attorney, your loved ones may face significant challenges in handling your financial and medical matters.

Types of Power of Attorney

In Missouri, there are two primary types of power of attorney relevant to mental incapacity:

1. Durable Power of Attorney for Finance: This document grants your agent the authority to manage your financial affairs, including paying bills, managing investments, and making financial decisions. Durability means it remains valid even if you become mentally incapacitated.
2. Durable Power of Attorney for Health Care: This document appoints an agent to make medical decisions on your behalf when you are unable to do so. It allows you to specify your medical preferences and appoint a healthcare proxy.

Why is a Missouri Power of Attorney Necessary for Mental Incapacity?

1. Avoiding Court Intervention: Without a power of attorney, your loved ones may need to go through the expensive and time-consuming process of petitioning the Court for guardianship and/or conservatorship to make decisions on your behalf. A properly executed power of attorney can help sidestep this need.
2. Ensuring Your Wishes Are Followed: By appointing a trusted agent, you have control over who will make decisions on your behalf, ensuring that your preferences are respected, both financially and medically.
3. Protecting Your Assets: A financial power of attorney allows your agent to manage your assets, pay bills, and protect your financial interests even when you can’t do it yourself.

How to Create a Missouri Power of Attorney for Mental Incapacity

1. Consult an Attorney: An experienced estate planning attorney can help you understand the legal requirements and guide you through the drafting and execution process.
2. Choose Your Agent Carefully: Select someone you trust beyond the shadow of doubt to act in your best interests.
3. Be Clear and Specific: Clearly outline your agent’s powers and limitations in the document, and specify any conditions that must be met before it takes effect.
4. Have It Properly Executed: Your power of attorney must be signed, witnessed, and notarized according to Missouri state law.
5. Keep It Updated: Review your power of attorney periodically and update it as needed to reflect any changes in your wishes or circumstances.

In conclusion, a Missouri power of attorney is a vital component of your estate planning. It offers protection, control, and peace of mind, ensuring that your affairs are managed as you see fit when you can no longer do so yourself. By taking this proactive step, you provide invaluable support for both yourself and your loved ones during challenging times.

Contact Us for Help with Your Estate Planning Needs

If you need legal assistance, or for further information about an estate planning need, please contact us or call Kennedy, Kennedy, Robbins & Yarbro, LC, at (573) 686-2459. Our commitment is to earn your confidence by answering all questions and providing quality representation.